ppt 08.project vijay

8/10/2019 PPT 08.Project Vijay

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E1E1--E2 CME2 CM

For internal circulation of BSNLonly

MANAGEMENTMANAGEMENT

Project VijayProject Vijay


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WELCOME

This is a presentation for the E1-E2 Management

Module for the Topic: Project Vijay.

Eligibility: Those who have got the Upgradation to E1-

to E2.

This presentation is last updated on 15-3-2011.

You can also visit the Digital library of BSNL to see thistopic.

For internal circulation of BSNL only


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Learning objectives

At the end of session, the trainees will be able to

Explain present status of BSNL

Describe Project Vijay Objectives

Define key terms used in Project Vijay such as FoS, Primary

, , , ,

Explain revised structure of Franchisee channel

Explain team structure for Project Vijay

Explain the concept of market retailer survey

Describe role description of Project Vijay Team

Describe proposed process for ordering and delivery



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BSNL FINANCIAL PERFORMANCEBSNL FINANCIAL PERFORMANCE

For internal circulation of BSNLonly3/11/2011


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Present status of BSNL

Largest fiber and copper network

Widest geographical reach

Large base of mobile towers

Significant potential to monetize assets through

Large existing customer base

Long customer relationships

Large , geographically distributed and experienced

manpower



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Challenges

Slowing growth leading to poor financial performance

Facing an extremely competitive environment

Lacking some critical skills to succeed in current market

Organization structure and processes that are not

attuned to market needs

Low employee motivation and involvement



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Wireless: Basic definitions - I

Customer using mobile services for first timeFirst time users

Increase in active subscriber base is called 'Net Adds'Net Adds (= No of new connections sold - No of disconnections/ churn)

New Total No. of SIMs sold during a duration are considered as

New connectionsconnections

No. of disconnections leaving the operator are defined as

churn subscribers

Churn

Recharge voucher is a paper voucher which customer

buys to recharge his prepaid SIM

Recharge

Voucher

Note: New connections are also referred to as Gross adds

2



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Wireless: Basic definitions - II

C Top-Up SIM is a special SIM given to Franchises/Retailers, using which they canCTOP-UPrecharge a subscriber's SIM without using any paper vouchersSIM

When a subscriber recharges his prepaid SIM from a retailer's C TOP-UP SIM or Electronic througwebsite, it is called electronic recharge or flexi recharge

Recharge

Commission is the money channel partner gets from telecom operator for making aCommission sale. E.g. on RCV sale, Franchise gets 4.5% discount of which some part he will pass

Trade scheme is a promotional scheme for channel partners (Franchise, Retailers)Trade Scheme

where channel partners could get more incentive over and above usual commission Incentive could be gifts/ prizes or extra commission in Rs

Trade scheme usually runs for a short duration, e.g. in last 10 days of the

month E.g. Vodafone scheme on new SIMs

Product Points Points

Reward/ giftsold awarded slabsDurables: e.g. Music system,

Magic box 25 < 7kRefrigerator, washing machine, etc.

Handset Higher value durables: A/C,20 8k - 23 k

bundle Blackberry, laptop, handycam, etc.

Pre-paid 10 25k - 50k Motorcycle, TV, Foreign trip, etc.

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Seven distinct channels exist within BSNLFranchisee Retailer network accounts for bulk of wireless sales (SIMs, Recharge)

# across India Definition/ exclusivity

1 Franchisees: ~1,200 Specific area allocated, exclusive Accounts forFranchisee Sub-franchisees: ~6,000 -13,5003 Non-exclusive (via franchisee)

Retailer Network ~70-95% of Retailers: 300,000 -350,000 Non-exclusive (via franchisee/sub franchisee)

wireless sales42

DSA ~21,000 - 25,000 Non-exclusive Types: Individual, Post office, Petrol pumps, PCOs

3 ~4,100 BSNL owned outlet (exclusive)Customer Service Focus on customer service (vs sales)Centre CSC

4 Exclusive (composed of BSNL employees) Proposed: ~45,000 Teams of sales-force split product-wiseCompany sales

Activities planned: Door to door sales, Franchisee monitoring, org.force (proposed)of melas, etc

5 ~301 Provides soft pins2 to retail outlets with POS terminals

E-PIN franchisee Non-exclusive/ exclusive

6 ~51 Partner company (sys. integrator) for supply of products notBusiness

available with BSNL, to meet all customer requirementsAssociate (BA) Non-exclusive

7Business ~150 Exclusive (BSNL employees)

External InternalDevelopment (BD) Function as key account managersNote: All figures in this slide are approximate estimates obtained from BSNL 1. Incomplete figure - not available for all circles2. PIN nos transmitted in electronic form to POS terminals, then printedas recharge coupons and sold to customer 3. Exact no not available 4. Will vary significantly by circle/ SSASource: BSNL

4



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e n ons o ey erms use n

Project Vijay

FoS: Feet on street:

Franchise's employees

collect CAF (Customer Application forms ) forms



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Primary Sales:

Sales of product from BSNL to franchise is defined as

'Primary Sales'

Secondary Sales:

Any sales from franchise unit to retailer is defined as

' '

Tertiary sales:

Product sales from retailer to end-customer is defined

as 'Tertiary Sales'



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Reach:

Reach defined as the ratio of telecom retail outlets

(multi-brand telecom outlets) that sell BSNL products to

geographical area .



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Extraction:

Extraction defined as the share of BSNL sales in the

total sales of a particular multi-brand telecom outlet

By value of recharge



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Definitions - reach and extractionILLUSTRATIVE

Multi-brand telecom outlets selling SIMS (total)BSNL Reach

Reach defined as the ratio oftelecom retail outlets (multi-brand telecom outlets) that

sell BSNL products to the sell BSNL SIMs (4) Do not sell BSNL SIMs (4)

total number of telecom retailoutlets in a particular BSNL reach = 4 / 8 = 50%geography

Total SIM sales of a multi-brand telecom outletBSNL Extraction

Extraction defined as theshare of BSNL sales in the

total sales of a particularmulti-brand telecom outlet BSNL SIMs sold (2) non-BSNL SIMs sold (8) By number of SIMs By value of recharge BSNL SIM extraction = 2 / 10 = 20%

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MBO:

Multi-brand telecom outlets



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Revised structure of Franchisee channel

Primary sales will be made from BSNL SSA to

Franchisee.

Franchisee will make the sales to Sub Franchisee and

.

Sub Franchisee will also make sales to MBO retail

Outlets in its area.

MBO retail Outlets will make the sales to customers.



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India likely to have ~700 mn wireless connections over next 5 yrsGrowth will be front-loaded with ~53% new adds in next two years

India wireless connections growth (past and projected)

Subscribers (Mn)

800 ~53% of totalnet adds during Urban+8%

2008-13 703 Rural655

Overall605

600 +20% 554

360484347

Total net adds320 million334383400 319

+59%300 Urban net adds 87 million (27%)

261

273

200 Rural net adds 233 million (73%)166+96% 343307

27196 23518452

33 110

613

0

1Mar-02 Mar-03 Mar-04 Mar-05 Mar-06 Mar-07 Mar-08 Mar-09 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14

Monthly net adds (Urban) in million 2.3 1.6 1.3 1.1 1.1

Monthly net adds (Rural) in million 6.1 4.2 3.0 3.0 3.0

1. BSNL & MTNL WLL not projected & excluded hereafter. Rural & Urban break-up estimated based on Jun-08 break-up Note: Based on circle wiseestimation; BSNL WLL data excluded for projections; Connections are referred as subscribers hereafter in this presentation Source: COAI, AUSPI, TRAI,Census data, literature survey, BCG analysis

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Seven building blocks of Project Vijay have been defined, inorder to achieve these objectives

1

Creation of Proj.Training of team

Vijay team

Wireless Potential Index2analysis

Tariff Tool:3

Training and Rollout

SancharSoft:4 SancharSoft: RefinementSet-up and Rollout

Market Retailer5

Survey

6 Revised Channel norms

7 Review Mechanisms

Start of a circle Ongoing refinement & stabilization

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Concept of market retailer survey

In the beginning a survey of retailers selling telecom

products in a particular geographical area will be made

by BSNL survey team with a purpose

To baseline existing retailer universe before pilot launch

o eve op c anne norms or ranc see anservice frequency, based on analysis of retailer universe

Survey to be conducted in each SSA of circle

Both urban & rural areas to be covered

Survey to be completed in 3-4 weeks duration



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Details which are contained in the

printed survey form in brief



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Revised team structure for Project VijayNew roles created at HO, Circle and Corporate level

Head Office Circle SSA/ Region

Project Sponsor(Director, Cons. Mobility2 )

Project Champion (HO) Project Champion (Circle)(GM, Cons. Mobility, S&D) (CGM)

SSA/ Region Head

Project Leader1(GM/ DGM Cons. Mobility)

Rollout Mana ers SSA sales head - Cons. Mobilit(DGM) (DGM/ DE/ SDE)

Circle level Nodes(SDE/ JTO)

Dedicated DGM Franchisee Managers Retailer Mgr Coordinator Channelstationed at circle but (SDE/ JTO) (SDE/ JTO) Mgmt.

reporting at HO teamRetailer Managers(TOA/ TTA/ TM)

Franchisee

Sub-franchisee

New roles created in BSNL

Channel (external)MBO Retailer MBO Retailer

Interact via Project Vijay review process

Customer1. Actual designation depends on the size of the circle; Large circles would have a GM Consumer Mobil ity (S&D) asthe Project Leaders, reporting to PGM Consumer Mobility (who reports to CGM) 2. Consumer Mobility

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Role of Project Vijay Team

Roles Role Description

Roll Out Mangers (ROM) Responsible for overall roll-out of Project Vijay in circle Expected

to drive on-the-ground implementation in circle and escalate

unresolved issues at the circle level, to HO

Circle level Nodes Guide SSA teams with best practices, key risks at a

particular stage, etc.

Help SSA teams resolve and escalate issues

SSA Sales Head - Res onsible for overall roll-out of Pro ect Vi a in Re ion/SSA

cons. Mobility

incl. team formation, process changes and value outcomeAct as Sales head, Mobility at SSA/ Region

Franchisee Manger (FM) Provide support and manage franchisees and sub-

franchisees

Retailer managerCoordinator (RMC)

Provide support and manage retailer managers

Retailer manager (RM) Act as retailer survey team, to map retailer universe (up-front)

Directly interact with and provide support to retailers on an

ongoing basis

For internal circulation of BSNL onl


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Proposed process for ordering and

deliveryFranchisee need not come to SSA office.

Franchisee Will deposit the amount in bank and intimate the

Franchisee manager and AO SALES) about money deposited in

BSNL account to supply the telecom product and place an order on

p one or roug ema .

AO (Sales) will verify whether the amount has been credited

in BSNL account or not.

After verifying, AO (Sales) and Franchisee manager will deliver

the material at the door of the Franchisees.



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Incentives and Awards

Role Reimbursement TypeTravel/meal/mobile

Reimbursementamount per month

Franchisee manager Travel & MealMobile (if not alreadyprovided)

Rs 1800Rs 500

Coordinator

Mobile (if not alreadyProvided)

Rs 500

Retailer Manager forvisitsup to 40kms/day avg

Travel & MealMobile (if not alreadyprovided)

Rs 1800Rs 500

Retailer Manager for visitsbeyond 40kms/day avg

Travel & MealMobile (if not alreadyprovided)

Rs 2600Rs 500



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Franchisee manager and Retailer

manager Roles

Franchisee Manager is expected to manage up-to 2

Franchisees and visit them every alternate dayFranchisee Manager is also expected to visit

-

Retailer Manager Coordinators expected to manage up

to 15 Retailer Managers and do 1 inspection visit per

Retailer Manager per month



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Role of Retailer manager

Each retailer manager is typically assigned -200-300

retailers, depending on area geography and is expectedto visit each retailer -2 times a month

falls in should be made by the SSA sales head, advised

by the Retailer Manager Coordinator.



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Reimbursement

The base reimbursement will be paid to Franchisee

Manager and Retailer Manager Coordinator uponmeeting a minimum of 10% achievement on

The base reimbursement will be paid to Retailer

Manager upon meeting a minimum of 30%

achievement on no. of retailers visits done as aproportion of the total no of retailers visits assigned



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Awards

Award Level Frequency Amount Criteria

Best Franchisee

manager

Circle Quarterly Rs.3000 Highest average

score onKPAs

Best Retailer Circle Quarterly Rs.3000 Highest average

coordinator

KPAs

Best Retailermanager

SSA Quarterly Rs.750 Highest averagescore onKPAs

Best Sales head Circle Quarterly Rs.5000 Highest averagescore onKPAs



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Conditions for Award

In case of a tie, the award amount may be equally split.

In order to qualify for an award the Franchisee Manager or Retailer

Manager coordinator must meet a minimum of 10% achievement on

Primary sale (# of SIM and Recharge value)

Similarly in, order to qualify for the award, the Retailer Manager must

meet a minimum of 30% achievement on no. of retailers visits done

as a proportion of the total no of retailer visits assigned.



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The final decision on awards at the circle levels shouldbe made by the PGM/GM (Consumer Mobility) at circle

,

account the average score on KPAs received from SSAs'


F iliti


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Facilities

SSA Sales Head Office space, Desktop with broadband GSMSIM or WLL phone (if not available)

Franchisee Manager Office space, Desktop with broadband GSMSIM or WLL phone (if not available)

Retailer Manager Coordinator Office space, Desktop with broadband GSMSIM or WLL phone (if not available)

Retailer Manager GSM SIM or WLL phone (if not available



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Conclusion

Project Vijay will take care of market share in consumer

mobility.

Market share is the product of reach and extraction. ProjectVijay will increase the reach and extraction of consumer

management.

As the reach and extraction will be increased, the market

share will go upAll depends on the sincerity and hard work of Project Vijay

team members.



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ppt 08.project vijay

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